Report on counterintelligence risks associated with real property transactions near military installations

(a) Report required Not later than 180 days after the date of the enactment of this Act, the Secretary of Defense shall submit to the Committees on Armed Services of the House of Representatives and the Senate a report on efforts of the Department of Defense to identify, assess, and mitigate counterintelligence, force protection, operational security, and military readiness risks arising from real property transactions located in proximity to military installations and other defense-sensitive sites within the United States. (b) Report elements The report required under subsection (a) shall include— (1) a description of the policies, procedures, authorities, and resources used by the Department of Defense to identify, assess, and mitigate national security risks associated with real property acquisitions, leases, concessions, development projects, and other transactions located in proximity to military installations and other defense-sensitive sites; (2) an assessment of counterintelligence, force protection, operational security, and military readiness risks associated with foreign ownership, control, influence, or investment involving property located in the United States and within— (A) 100 miles of a military installation, as defined in section 2801(c)(4) of title 10, United States Code; or (B) 50 miles of— (i) a military training route, as defined in section 183a(h) of title 10, United States Code; (ii) airspace designated as special use airspace under part 73 of title 14, Code of Federal Regulations, and managed by the Department of Defense; (iii) a controlled firing area, as defined in section 1.1 of title 14, Code of Federal Regulations, used by the Department of Defense; or (iv) a military operations area, as defined in section 1.1 of title 14, Code of Federal Regulations; (3) a specific assessment of risks associated with transactions involving a foreign person owned or controlled by, acting on behalf of, or subject to the direction of— (A) the Government of the People’s Republic of China; (B) the Government of the Russian Federation; (C) the Government of the Islamic Republic of Iran; (D) the Government of the Democratic People’s Republic of Korea; or (E) a foreign terrorist organization designated pursuant to section 219 of the Immigration and Nationality Act (8 U.S.C. 1189); (4) a description of the processes used by the Department to coordinate with the Committee on Foreign Investment in the United States and other Federal departments and agencies regarding transactions that may present national security concerns; (5) a description of transactions identified by the Department during the preceding three years as presenting potential counterintelligence, force protection, operational security, military readiness, or other national security concerns, including— (A) the number and general nature of such transactions; (B) the basis for the Department’s concern, as appropriate; (C) actions taken by the Department to assess, mitigate, or otherwise address such concerns; and (D) coordination undertaken with the Committee on Foreign Investment in the United States or other Federal departments and agencies in connection with such transactions; and (6) an assessment of any gaps in authorities, resources, personnel, intelligence collection, or information sharing capabilities that limit the ability of the Department to identify, assess, or mitigate such risks, together with recommendations for legislative action. (c) Form The report required by subsection shall be submitted in unclassified form but may include a classified annex. (d) Sense of congress It is the sense of Congress that the Department of Defense should strengthen and maintain counterintelligence activities, threat awareness, and interagency coordination relating to real property transactions and development activities that may facilitate foreign intelligence collection or otherwise threaten the security of military installations and defense-sensitive sites within the United States, or otherwise present counterintelligence, intelligence collection, surveillance, operational security, force protection, or military readiness risks.